Temex Achieves Excellent Gold Recoveries up to 98% on Preliminary Metallurgical Testwork, Whitney Project, Timmins

TORONTO, Feb. 27, 2013 /CNW/ - Temex Resources Corp. (TSX-V: TME, FWB: TQ1) ("Temex" or "the Company") is pleased to announce that it has received excellent preliminary results of metallurgical testwork on the Hallnor gold deposit in Timmins, Ontario. The historic and prolific Hallnor mine, the centerpiece of the Whitney Project, was the highest grade gold producer in the Timmins camp having produced 1.7 M ounces of gold at 0.40 ounces (12.4 g) gold per tonne. Current in-pit NI 43-101 compliant resources are 776,100 ounces grading 2.08 g/t gold measured and indicated, and 231,900 ounces grading 1.79 g/t gold inferred and the deposit is wide open along the mine trend for 2 kilometres to the west including the Broulan Reef Mine.

Highlights:

• Cyanidation leach tests yielded excellent gold recoveries ranging between 93 to 98%
  
  
• Leach times are considered fast with low consumption of reagents
  
  
• Gravity tests are considered excellent producing high grade concentrates and confirming the presence of free gold
  
  
• Gravity concentrate with gravity tail leaching yielded gold recoveries between 94 to 97%
  
  
• Additional testing could further improve gold recoveries

"We are extremely pleased with the exceptional results of our preliminary metallurgical testwork at Hallnor which is another important step forward in our fast-tracking this project on the pathway towards production. The results today demonstrate that very high gold recovery is achievable and it is particularly noteworthy that excellent recoveries were achieved on all testwork methods which indicated not only the presence of free milling gold that is rapidly recoverable in short time frames but also with low reagent consumption suggesting low milling costs," commented Ian Campbell, President and CEO.

The work conducted by SGS Canada Inc. concluded that cyanide leaching on whole ore at various grinds between K₈₀ of 51 to 143 microns (µm) produced excellent gold leach recoveries ranging between 93% and 98% on calculated head grades ranging between 0.94 to 2.32 g/t gold respectively.  Excellent results were also achieved on a variety of alternate and combined techniques including gravity concentration, flotation and cyanide leaching.  The report recommended that the potential to reduce milling costs and improve gold recovery through optimizing these techniques still exists with further testing.

The metallurgical testwork was conducted on three composites: one master composite (1.91 g/t gold) and one each high grade (3.23 g/t gold) and low grade (1.22 g/t gold) sub-composites from 180 kg composed of 224 individual core samples.  The core samples were representatively selected from 55 drill holes across the ore body by P&E Mining Consultants Inc. of Brampton, Ontario and sent to SGS Laboratories in Vancouver, B.C.

The metallurgical testwork reported here for gold in the three composites consisted of 1) whole ore cyanidation (CN) extraction, 2) gravity concentration recovery, 3) whole ore flotation recovery, 4) gravity tail flotation recovery, and 5) gravity tail CN extraction. Table 25 from the SGS report is presented below:

Table: Comparison of Gold Recovery using Different Circuit Configurations

Whole Ore CN Leaching

All the whole ore leach tests, irrespective of the variable tested, produced excellent gold leach recoveries ranging between 93% and 98% at respective grind sizes of 80% passing 50 µm (microns) up to 143 µm (microns). The results show that gold leach recovery increased with fineness of grind with the best results achieved at finer grinds. The first 6 hour gold leach kinetic tests were fast and extending the leach time beyond 24 hours did not improve the results. The cyanide and lime consumptions were less than 0.5 kg/t and 0.8 kg/t respectively and are considered low.

Flotation Tests

Flotation tests on whole ore produced excellent gold recoveries ranging between 85% and 95% for all three composites at grind sizes between K₈₀ of 52 to 161 µm (microns). The flotation of gravity tails resulted in gold recoveries of 82 to 91%.

The combination of gravity + gravity tail flotation resulted in gold recoveries of 90 to 95%.

Gravity Tests

Each composite test charge was ground to the target size and tested using a laboratory model Knelson MD-3 concentrator prior to being upgraded on a Mozley mineral separator.  The gravity concentrate was assayed to extinction for gold by standard fire assay methods. The gravity tailings gold assays were assayed in duplicate. The report concluded that gravity separation at grinds of 80% passing 133 to 143 µm (microns) recovered 34 to 45% of the gold in the concentrate and were considered "excellent". The concentrate grade ranged from 1,136 g/t to 3,046 g/t gold at upgrade ratios of 854 to 1081 times head grade.

The combination of gravity + gravity tail leaching increased the gold recovery to 94 to 97%.

Chemical Analyses

The gold assays of the composites were determined by pulp and metallic (P&M) approach.  The gold assays of the composites were determined by screen analyses protocol, screening at 150 mesh (105 microns).  Pulverizing/screening at 150 mesh continued until the oversize fraction was approximately 30 to 50 grams at which point the coarse fraction was analyzed for gold to extinction by standard fire assay methods and the combined fine fraction was blended, riffled down and assayed in duplicate.

Work Program and Outlook

The ongoing metallurgical program will follow up on the SGS recommendations towards optimizing processing techniques and operating cost saving opportunities.  The objectives will be to investigate and compare the benefits of stand-alone vs. custom milling opportunities as a number of gold milling facilities are located close by, may be amenable to this ore type and prove economically even more attractive.

The Whitney Property is held under a joint venture in which Temex owns 60% and Goldcorp Canada Ltd. (("Goldcorp"), on behalf of the Porcupine Gold Mines Joint Venture (a joint venture between Goldcorp Inc. and Goldcorp)) owns 40%.  Temex is the operator of the joint venture.

The NI 43-101 resource on the Upper Hallnor portion of the Whitney Property announced in September 2012 is summarized below for the in-pit resources and is shown on a 100% basis.

Mineral Resource Upper Hallnor In-pit at 0.30 g/t Au cut-off grade (news release September 5, 2012)

• Measured ("M"): 232,100 ounces contained in 2,964,000 tonnes at a grade of 2.44 g/t gold
• Indicated ("I"): 544,000 ounces contained in 8,664,000 tonnes at a grade of 1.95 g/t gold
• TOTAL M+I: 776,100 ounces Measured and Indicated in 11,628,000 tonnes at a grade of 2.08 g/t gold
• Inferred: 231,900 ounces contained in 4,024,000 tonnes at a grade of 1.79 g/t gold

The contents of this press release have been approved by independent Qualified Persons Alfred Hayden, P.Eng. and Eugene Puritch, P.Eng. of P&E Mining Consultants Inc.  This press release has also been reviewed by Jalal Tajadod, PhD, P.Eng. and Jake Lang, B. E. Sc. of SGS Canada Inc.

About Temex Resources Corp.
Temex is a Canadian based exploration company focusing on its portfolio of precious metals properties in Northeastern Ontario, a world class mining district. Temex (60% interest) is exploring the Timmins Whitney Property, in partnership with Goldcorp (40% joint venture interest; no back-in rights), and the Juby Gold Project.

The Whitney Property has open pit and underground NI 43-101 compliant resources on the Upper Hallnor of 3.0 million tonnes at a grade of 2.44 g/t gold for 234,300 ounces of gold in the Measured category, 8.8 million tonnes at a grade of 1.97 g/t gold for 555,900 ounces of gold in the Indicated category, and 4.1 million tonnes at a grade of 1.82 g/t gold for 241,000 ounces of gold in the Inferred category, at a cut-off grade of 0.30 g/t gold for open pit and 2.0 g/t for underground (Note 1).

The Juby Main Zone has NI 43-101 compliant resources of 22.3 million tonnes at a grade of 1.30 g/t gold for 934,645 ounces of gold in the Indicated category and 28.2 million tonnes at a grade of 1.00 g/t gold for 905,621 ounces of gold in the Inferred category, both at a cut-off grade of 0.40 g/t gold (Note 2).

Notes:

1. Information regarding the mineral resource estimate on the Upper Hallnor is in the Company's news release dated September 5, 2012 and the technical report filed on SEDAR October 19, 2012.  The Mineral Resource Statement was prepared for Temex by P&E Mining Consultants Inc. of Brampton, Ontario in accordance with NI 43-101 by Richard Sutcliffe, PhD, P.Geo., Eugene Puritch, P.Eng., David Burga, P.Geo., Yungang Wu, P.Geo., Tracy Armstrong, P.Geo., and Antoine Yassa, P.Geo., "independent qualified persons" as defined by NI 43-101.
2. Information regarding the mineral resource estimate on the Juby Main Zone is in the Company's news release dated January 16, 2012 and the technical report filed on SEDAR February 28, 2012.  The Mineral Resource Statement was prepared for Temex by GeoVector Management Inc., Ottawa, Ontario in accordance with NI 43-101 by Joe Campbell, BSc, P.Geo., Alan Sexton, MSc, P.Geol., and Allan Armitage, PhD, P.Geol., "independent qualified persons" as defined by NI 43-101.

Forward Looking Statements:
This news release includes certain "forward-looking statements".  Such forward-looking statements involve risks and uncertainties.  The results or events predicted in these forward-looking statements may differ materially from actual results or events.  The Company disclaims any intent or obligation to update any forward-looking statement, whether as a result of new information, future events or results or otherwise.

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SOURCE Temex Resources Corp.